This topic contains a solution. Click here to go to the answer

Author Question: Which of the following statements is correct? (Read 258 times)

xxxxxxxxxxxx

  • Full Member
  • ***
  • Posts: 142
Which of the following statements is correct?

A firm with low business risk is less likely to increase its use of financial leverage than a firm with high business risk, assuming all else is equal.


There is no reason to think that changes in the personal tax rate would affect firms’ capital structure decisions.


In general, a firm with high operating leverage also has a large proportion of its total costs in the form of fixed costs.


Suppose a firm has less than its optimal amount of debt. Increasing its use of debt to the point where it is at its optimal capital structure will decrease the costs of both debt and equity financing.



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by xxxxxxxxxxxx on Aug 7, 2023

RodrickHac

  • Full Member
  • ***
  • Posts: 174
    • anestencream.com
Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
Answer Preview
Only 39% of students answer this correctly



xxxxxxxxxxxx

  • Member
  • Posts: 142
Reply 2 on: Aug 7, 2023
Excellent


meow1234

  • Member
  • Posts: 333
Reply 3 on: Yesterday
Gracias!

 

Did you know?

The term pharmacology is derived from the Greek words pharmakon("claim, medicine, poison, or remedy") and logos ("study").

Did you know?

There are 60,000 miles of blood vessels in every adult human.

Did you know?

There are more nerve cells in one human brain than there are stars in the Milky Way.

Did you know?

There are more sensory neurons in the tongue than in any other part of the body.

Did you know?

There are more bacteria in your mouth than there are people in the world.

For a complete list of videos, visit our video library